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Wage Inequality in Spain, 1980-2000

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  • Manuel A. Hidalgo

    (Department of Economics, Universidad Pablo de Olavide)

Abstract

We use recent developments in quantile regression to simulate counterfactuals densities that allows to decompose the Spanish wage inequality evolution over the 1980-2000 period between changes due to observable prices, labour market composition and non observable characteristics' prices. Our empirical results are threefold: first of all, the wage inequality decreases during each decade first half and increases during the second ones, second both changes in prices and composition has an important role in this evolution and third, changes in observable prices mirrors this behavior above and below the median while non observable inequality increases since 1985 onwards below the median, with an erratic trend above. Finally some tentative explanations are give that could reasonably explain our findings.

Suggested Citation

  • Manuel A. Hidalgo, 2008. "Wage Inequality in Spain, 1980-2000," Working Papers 08.08, Universidad Pablo de Olavide, Department of Economics.
    • Handle: RePEc:pab:wpaper:08.08
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    Cited by:

    1. Stéphane Bonhomme & Laura Hospido, 2017. "The Cycle of Earnings Inequality: Evidence from Spanish Social Security Data," Economic Journal, Royal Economic Society, vol. 127(603), pages 1244-1278, August.
    2. Ada Ferrer-i-carbonell & X. Ramos & M. Oviedo, 2013. "GINI Country Report: Growing Inequalities and their Impacts in Spain," GINI Country Reports spain, AIAS, Amsterdam Institute for Advanced Labour Studies.
    3. Manuel Hidalgo, 2009. "Are Within-Groups `Abilities' Distribution Constant on Time?," Working Papers 09.15, Universidad Pablo de Olavide, Department of Economics.
    4. Josep Pijoan-Mas & Virginia Sanchez-Marcos, 2010. "Spain is Different: Falling Trends of Inequality," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 13(1), pages 154-178, January.
    5. Manuel Alejandro HIDALGO PEREZ, 2010. "Analysis of Education Wage Premium in Spain," Regional and Urban Modeling 284100020, EcoMod.

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    More about this item

    Keywords

    Wage inequality; counterfactuals; human capital.;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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